Weekly Market Overview

Investing.com– The S&P500 slipped to a weekly loss on Friday as the post-election rally fizzled out. Fresh economic strength signs raised concerns about fewer Federal Reserve rate cuts.

At 4:00 p.m. ET (2100 GMT), the Dow Jones Industrial Average fell 305 points, or 0.7%, the S&P 500 index dropped 1.4%, and the NASDAQ Composite slipped 2.3%.

Treasury Yields Climb

Treasury yields climb as deep rate-bets fade after retail sales beat expectations
US retail sales increased slightly more than expected in October, rising 0.4% last month above the 0.3% expected, and compared with the upwardly revised 0.8% advance in September. Robust consumer spending helped the economy maintain its strong pace of growth last quarter.

At the same time, US import prices unexpectedly rose in October, rebounding 0.3% last month after an unrevised 0.4% decline in September, indicating persistent inflation issues.

"The stronger-than-expected showing in retail spending underscores the storyline of a persistently resilient consumer, perpetuating solid economic conditions," Stifel noted.

This data eased expectations about the rate-cut path ahead. Fed Chair Jerome Powell warned on Thursday that strength in the U.S. economy will allow the Fed to take time in deciding how and when to lower interest rates.

Major Market Movers

Applied Materials, Alibaba fall; Domino's Pizza gives up gains, Pool climbs on Berkshire stake
Among major market movers, Applied Materials (NASDAQ:AMAT) fell 9% after its quarterly earnings missed expectations, with slowing revenue from China as a key concern amid challenging demand for wafer fab equipment.

"So unless a company is gaining a lot of WFE share next year (like LRCX), we would remain on the sidelines," UBS remarked.

Domino’s Pizza (NYSE:DPZ) closed 1% lower, giving up gains, while Pool Corporation (NASDAQ:POOL) ended modestly higher after Berkshire Hathaway (NYSE:BRKa) took stakes in the two firms.

Alibaba (NYSE:BABA) stock fell 2% after moderate revenue growth in its latest quarter.

Palantir (NYSE:PLTR) announced its move to the Nasdaq Global Select Market from the New York Stock Exchange, boosting shares 8%.

Trump’s Cabinet Formation

President-elect Trump's cabinet continues to take shape
President-elect Donald Trump is considering Fox Business Network host Larry Kudlow to lead the National Economic Council, according to the Wall Street Journal on Friday.
(Peter Nurse, Ambar Warrick contributed to this article.)